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Murray,
I'm using the Awesome Oscillator (AO) and the Acceleration/Deceleration
Oscillator (A/D), and have been very impressed with both. Since I use a
"continuation of the trend" type system, they are used together to indicate
a momentum surge in the direction of the trend. These oscillators can be
used in different ways, but my use is limited to the technique described in
Chapter 7 ("Trading in the Zones") of Bill William's book, NEW TRADING
DIMENSIONS. (This use is the simplest and easiest to code .) A BUY
signal is triggered (along with other filters) when today's value of AO is
> yesterday's value and today's value of A/D is > yesterday's value. Can't
get much simpler than that.
Using TechniFilter Plus I was able to test these oscillators using several
hundred stocks over several years and was pleasantly surprised at the
results. Using the AO and A/D together resulted in a significant "bump" in
average daily return over the AO alone. Including an index (e.g., S&P 500)
with these indicators to ensure the trade was in the direction of the
overall market provided further surprising increases in average daily
return.
These indicators are truly awesome and I heartily recommend them. I also
recommend his book. It's clear and very well written, full of lots of good
info, and entertaining as well.
Bill
----------
> From: M Richards
> To: metastock@xxxxxxxxxxxxx
> Subject: RE: Re[4]: alligator
> Date: Tuesday, January 26, 1999 11:13 AM
>
>
> Hi,
> Gary , thanks for posting the moving averages, I could not work those
> out. Bill Williams book New Trading Dimensions explains his system fully.
I
> only take the break of the fractal and have found it gives a great entry
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